It costs 40 million pounds to maintain the royal family of Great Britain. In U.S. currency, that is a little over $62 million! It’s hard to believe that paying for them helps the citizens of the UK.
The reason for it is this: During the reign of King George III, who lost the US during the revolution, he incurred an incredible debt, but he had huge tracts of land that he rented. The rent was too little for him to pay off the debt quickly like he needed to.
So, he offered Parliament a deal. For the rest of his life, he’d give all the profit of his land in exchange for getting a fixed annual salary and removing all his debt. Parliament took the king’s offer thinking that it would pay off for them in the end. So, they now pay the royal family 40 million pounds a year and they receive 200 million pounds a year of profit from the royal lands. That means the UK gains 160 million pounds a year on the deal!